In a recent statement, Governor Nasir El-Rufai of Kaduna State highlighted the Federal Government’s increased expenditure on fuel subsidy, pointing out that many Nigerians are unaware of the current situation.
Addressing journalists in Maiduguri, the capital of Borno State, El-Rufai emphasized the necessity of fuel subsidy despite previous attempts to remove it.
“Fuel subsidy is another policy that has been implemented by the president, it’s the right policy. I always supported withdrawing fuel subsidy,” stated El-Rufai.
However, he noted that recent observations have shown that the impact of removing the subsidy was not as anticipated, leading to higher expenditures on subsidy payments.
“In the course of implementation, as you can see, the government has now realized that the subsidy has to be back because right now, we are paying a lot of money for subsidy even more than before,” El-Rufai explained.
Despite efforts to mitigate the impact of removing the subsidy, such as support packages, the effectiveness of these measures has been limited. As a result, the Federal Government has resumed subsidizing petrol.
El-Rufai pointed out that many individuals are unaware of the reinstatement of fuel subsidy. He urged Nigerians to compare the prices of petrol and diesel, highlighting that while diesel is priced above a thousand naira, petrol remains at N600 per liter.
“So, we are still subsidizing petrol because the government has realized that the way it implemented the fuel subsidy initially required some adjustments. That’s what I keep saying about policy and policy pragmatism,” El-Rufai concluded.
The announcement by El-Rufai sheds light on the Federal Government’s decision to increase spending on fuel subsidy, underscoring the ongoing challenges and complexities surrounding energy policy in Nigeria.
